ZDNet cited "sources close to Adobe" late Tuesday as claiming that the company will soon make the following announcement, possibly as early as Wednesday:
Our future work with Flash on mobile devices will be focused on enabling Flash developers to package native apps with Adobe AIR for all the major app stores. We will no longer adapt Flash Player for mobile devices to new browser, OS version or device configurations. Some of our source code licensees may opt to continue working on and releasing their own implementations. We will continue to support the current Android and PlayBook configurations with critical bug fixes and security updates.

Adobe's partners will reportedly receive an email briefing them on the fact that it is "stopping development on Flash Player for browsers on mobile," the report continued. The company will instead focus its efforts on mobile applications, desktop content "in and out of browser," and investments in HTML5.